You wouldn’t use a hammer for a job that requires a screwdriver would you? Think about your risk management in the same way. Modern hedging portfolio trends combine different tools and actions to help manage the risk in a portfolio and protect against unpredictable market scenarios.
Do a check-up on your risk management strategy before harvest.
When I talk about building a diversified hedging portfolio as a business, I often use the analogy of building an investment portfolio as an individual.
With an individual investment portfolio, a mix of different, non-correlated asset classes (i.e.
You have the need for risk management solutions – we have a variety of solutions to meet your needs. It’s a win-win situation!
We work with customers in a variety of ways – taking into account your individual needs and risk management goals.
By: Rob Wolter
Over the last number of years, many executives and managers in the food space have done well by essentially employing a “do nothing” approach when it comes to hedging their price risk in food commodities. They’ve done this by simply keeping an eye on heavy supply forecasts and waiting for deferred prices to drop as consumption months approach.
Likely, you have already heard about technical analysis. If you haven’t started using it yet, it could be because you are asking yourself, “How does it work in practice, and can I rely on it as a practical tool?” People ask me this all the time.
We started the conversation about the three indicators you can use to start you down the technical analysis path in Three Indicators to Start You Down the Technical Analysis Path- Part One. If you haven’t read it, I recommend starting there.
By Cargill Risk Management
Last fall, the U.S. Department of Agriculture’s Risk Management Agency announced a new insurance plan for dairy producers. The new “Dairy Revenue Protection,” program provides insurance on a quarterly basis for the difference between the final revenue guarantee and actual milk revenue if prices fall.